Economyoverview:
The Bahamas is a stable, developing nation with an economy heavily
dependent on tourism and offshore banking. Tourism alone accounts for more
than 60% of GDP and directly or indirectly employs 40% of the archipelago's
labor force. Moderate growth in tourism receipts and a boom in construction
of new hotels, resorts, and residences led to an increase of the country's
GDP by an estimated 4% in 1998. Manufacturing and agriculture together
contribute less than 10% of GDP and show little growth, despite government
incentives aimed at those sectors. Overall growth prospects in the short
run will depend heavily on the fortunes of the tourism sector and continued
income growth in the US, which accounts for the majority of tourist
visitors.